Megatrends

The most influential Megatrends set to shape the world through 2030, identified by Euromonitor International, help businesses better anticipate market developments and lead change for their industries.

Hot Drinks in Uzbekistan

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Executive Summary

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Hot drinks development is evident

Uzbeks have always been considered heavy consumers of tea; it is a common thing for an Uzbek to drink hot tea in hot weather. In terms of coffee, the category is much smaller than tea, but constantly growing as the habit of drinking coffee is becoming popular among population.

Devaluation of national currency has negative impact

Strong devaluation of the national currency continued in 2017 adversely impacting all imports including tea, coffee and other hot drinks. Since the vast majority of hot drinks is imported, the products are highly correlated to the value of the US dollar in Uzbekistan.

The market belongs to foreign brands

Tea, coffee and other hot drinks are all totally controlled by foreign brands. The only exceptions are black and green tea, where a significant share of sales belongs to Uzbek brands.

Premium tea and coffee brands are appearing in the market

In recent years, premium types of tea and coffee have started to emerge in Uzbekistan. For example, expensive types of tea bags that cost on average five times more than regular ones started to appear in supermarkets in Tashkent.

Tea stagnates while coffee grows

Despite the fact that every Uzbek consumes tea at least three times a day, it is expected that the category will stagnate in the future. In addition, although the population is growing, this will not result in strong growth of tea, as the category has reached its peak.

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